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tv   Markets Now  FOX Business  July 30, 2013 1:00pm-3:01pm EDT

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jennifer davis is here with this season's standout. dennis: security and convenience in a new sensor for apple's new iphone. lori: let's get checked in on the markets as we do every 15 minutes. let's check in with nicole petallides. stocks really fighting to stay in the green. nicole: right. we had heavier volume in the first part of the day. one trader talking about the fact that we are sleepwalking with the market. you do see that there are some stories stocks and the trend remains to the upside. you can see the tech heavy nasdaq is the best of the bunch. the banking index with off arrows. the drug index has pulled back some. let's take a look at to
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drugmakers. pfizer and merck. big pharma is something to watch during this earnings season. lipitor sales are out patents. as they lose the patent, they lose some of the money. adam: that is something we can talk about another day. right now, oil has been falling below $104. phil flynn is in the trading pits of the cme. new numbers show that u.s. demand for oil is actually slowing down. the selling is actually picking
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up; right? >> i think so. refinery runs are well above normal for this time of year. i think it is one of the negatives that is weighing on oil today. the economic data that came out today, consumer confidence, the home sales numbers, that does not really inspire a lot of talk going fooward. you have the worries about the federal reserve. the good news is it is also bringing down rbob, which, of course, at the gas pump, that is a sign that we could see prices come down. adam: phil flynn, thank you. lori: gearing up for the biggest week of the summer.
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the seventh time in all of history that the reports are all released during the same week. should we expect -- midsummer madness. all of all of those data points, which, in your view, will be most impactful? >> lori, i think the feds have kind of been driving things here since may. they have a chance to rescue the brocade communications that they have kind of done here in the last couple months. hopefully the statements tomorrow are pretty clear. i think that is probably the focal point for the week.
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i think that the jobs report will be a close second. lori: it sounds to me that you expect a fall tapering of bond purchases to be executed by the federal reserve. does that suggest that we have a firm understanding of the economy? there are some other descriptions out there. >> tomorrow, at the fed meeting, we will get a whole new set of numbers on gdp that will extend all the way back to 1999. we will get, probably different wiggles on gdp, but the pattern will look about the same. there are a lot of things that suggest that the economy may not be growing as strongly as the jobs market suggested that it is. we have to weigh all of these
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things. lori: once the tapering commences, do you expect the markets to take it in stride or will we have a reaction similar to what we saw this summer? >> i think now that the markets are kind of time for the fed to taper, i do think it will introduce some volatility. i do not think it will be quite as volatile as it was in sight may and june. we will see if it happens again. lori: let's talk about some of the data points that were released this morning. a little lower, a little softer than the forecast, but still at multi- year highs. i think consumer confidence hit
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over 110. what is the main concern? is it still job opportunities? >> i think that it is. you could have argued the last couple years that housing was weighing on consumer confidence. the stock market is at a new all-time high. home prices are up. i think that it is jobs. in june, a lot of the jobs created were part-time jobs. i do not think that is really what people want to see going forward. i think it is jobs and income. once we can get that rolling a little bit better, consumer confidence can get a little bit higher. lori: the july unemployment report is out on friday. for now, think you for your time and insight. >> thank you, lori.
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dennis: president obama rolling into tennessee. rich edson is at the white house with more on the catch. rich: it is a sizable catch. we do not know how expensive it will be. a down payment and then doing corporate tax reform. president obama leaving the white house a short while ago. he is in tennessee. what the white house is announcing today is almost a two-step process for corporate tax reform. they would do normal tax reform at a top rate of 28%. the white house calls that proposal deficit neutral. >> it represents an unmistakable signal that the president has literally backed away from its
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campaign promise to corporate america. the tax reform would be revenue neutral to them. it also represents a true flow here in washington. rich: a treasury proposal, still not sure of the specifics of the white house plans. adam: thank you very much. ritual interview gene sperling. lori: jpmorgan. regulators accused the bank. they say they are not doing any wrong doing.
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55.55 is the current price on jpmorgan shares. the war over fees between cbs and time warner cable. they have until friday at 5:00 p.m. to reach a deal. the new deadline coming after a short blackout. shares of these companies are mixed today. the requirements -- twitter has not offered any hints about an offering. many do believe it could come early next year. dennis: bep says it's fund is running on fumes.
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lori: fertilizer stocks getting destroyed today. adam: former goldman sachs trader tells our own elizabeth macdonald he is feeling good. the latest from the courthouse is just ahead. ♪ [ male announcer ] at his current pace, bob will retire when he's 153, which would be fine if bob were a vampire. but he's not. ♪ he's an architect with two kids and a mortgage.
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♪ lori: charles payne has entered the studio to help all of us make some money. charles: i was thinking about stuart varney. he was on a tractor with flip-flops. tractor supply. they sell everything but tractors. when i say everything, i mean everything.
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you want some camel overalls, hunting, everything you need. the last time they reported, sales were up 14%. a year ago 3.2%. i think the stock can probably continue to go. adam: who is buying most of their stuff? charles: real life farmers. in the new york state area, i found three stores. here is something they did say about their customers. i thought it was interesting for all people to think about this. they said that their customers are home, land, pet and animal owners with above average income and below average cost of
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living. think about that. i was going to do the greenacre thing with you guys. you are both like citydwellers. lori: i actually live in greenacres. that is the name of my neighborhood. charles: you know the song? it still has room to the upside. lori: okay. we will follow that one. nicole petallides has a great view from the new york stock exchange. nicole: making money if they shorted some of these potash companies. look here out potash, mosaic, on
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monsanto. they are slightly up off the lows. prices could drop about 25%. there is a consortium for these fertilizer groups. it really hits this group hard. i also wanted to take a look at cf industries. it has, it has come up off the lows. cf industries is another one to watch. lori: thank you, nicole. nearly two years later that deep soil horizon still continues to shadow bp and its business.
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the fund which was created to compensate victims after the spill has about $300 million left. bp is in a legal battle over payoffs. the deadline to file a business economic loss claim is not until april of next year. claims beyond what the fund can pay out will come from future profits. shares are down 29% since the spill of 2010. adam: a gutsy move by fabrice. the latest from the courthouse as the case gets ready to go to the jury. lori: countdown to back to school is on. it is not even august yet. time to start shopping. jennifer davis on the stocks that could earn your portfolio high market.
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♪ >> 21 minutes past the hour.
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breaking news coming in just moments ago. the verdict of bradley manning is now in. he has been found not guilty of aiding the enemy. that was considered the most serious charge. he was found guilty of five charges of espionage. in florida, fire officials investigating last night series of explosions. either an equipment malfunction or human error was to blame. it left eight people injured and four of those were critical. secretary of state john kerry says israeli and palestinian negotiators had a very positive meeting with president obama and vice president joe biden.
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john kerry is expected to join the talks later today. those are your headlines. a lot going on today. adam: thank you very much. the latest on fabulous fab to her. closing arguments under way of former goldman sachs vice president. elizabeth macdonald is live with this story. >> good to be with you, adam and lori. they are just wrapping up closing arguments. here is what we were told this morning. are you feeling confident? >> i am good. thank you. >> he is feeling confident. he is feeling good. they just broke for lunch. this case could go to the jury.
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they decided not to call any witnesses. they wrapped up immediately after the sec wrapped up their end of the case. they even undercut one of their witnesses. that is at the center of this alleged fraud. the problem with this case is that it is built on e-mails. some of this is circumstantial. we are also seeing that nobody has stood up in court. no one said that he misled them and that is why they invested in the deal.
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i will tell you one other side know, the sec attorney called him "mr. fraud" basically triggering little chuckles in the court room. we will give you the latest developments as they unfold. adam: elizabeth macdonald. thank you. lori: tax and corporate profits. the president said to pitch his plan. adam: home prices accelerating in may. the cities that are now setting new records. anthony sanders on whether or not a bubble is brewing. ♪
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lori: very, very busy week on the economic and earnings calendar. let's get an update how the mark are reacting as we do every 15 minutes on the dow jones. nicole. >> before i bring you over to a particular stock,away seeing now that the dow has turned into negative territory after being in the green all day long. of course as we noted everybody is waiting to see what the fomc will say tomorrow. that will be at 2:00 p.m. now we have a big crowd here over like some people are visiting the new york stock exchange. down 8% for coach. coach came out with their
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quarterly numbers and women's handbags are the big bread and butter, right? that is where they really lagged. facing intense competition from names like michael coors for example. facing weakness in the stock. back to you. adam: thank you, nicole. according to the latest s&p/case-shiller index there were serious standouts especially in the west. prices in san francisco up 25%. las vegas is up 23%. vegas is up 20%. what is driving the gains and should people worry about a growing housing bubble? we will talk to george mason professor of finance and real estate anthony sanders. we appreciate you joining us. is this a bubble. >> there are clear indications it's a bubble. what i want to point out the other news homeownership rates have fallen to a 18-year low. adam: you beat me to the punch. lowest since 1995.
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>> that's right. adam: that is troubling if prices are going up and ownership rates are going down that is part of ingredients to indicate a bubble. what else indicates a bubble? >> mortgage purchase acquisitions like the mortgage bankers association have been back to 1996 levels. they're not growing particularly rates rising in general. so we have explosive house prices out west but, all the demographics, all the other type of information like homeownership rates. adam: household creation. >> yeah. there is some separation in there. adam: forgive me, i am asking you a loaded question because i think i know the answer but i'm not a professor so your answer is the one that counts. previously owned home sales, the rate was 5.08 million which was the best, second strongest since november 09. the reason that might be troubling, if the homeownership rate is declining to the lowest level since 1995, that would indicate individuals are not buying these homes so who is
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buying them. >> we have two parties involved. hedge funds are going out in the west, wild, wild, west. foreign investors, chinese investors, russian investors, canadian investors they're all jumping in and buying housings particularly out in the west. adam: are they buying that housing in order to live or buying that housing in order to rent? for instance i know hedge fund are buying large, you know, 100 at a time, homes not necessarily in foreclosure but distressed sales, fixing them up and planning to rent with one day selling. seems to me that is setting us up for a price drop. when all the homes hit the market, kaboom! goes the price. >> the good news, i don't know if you call this good news or not, the inventories are very thin. they can get away with sort of a price elevation out there. if you look at corelogic's numbers today in terms of foreclosures on the market, they're starting to dwindle out west. eventually this will catch up and investors are pulling out. here's my point, adam, who will backstop this? it is not consumers.
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they're not buying. adam: when you asked that question i know who would you usually backstop it but i don't know if they have any powder left in the gun over at the federal reserve. let's wrap this up. two questions, the first if you're in one of the big cities, san francisco, new york, washington, los angeles, have you missed your opportunity or should you get in now or should you wait for some kind of perhaps correction? >> well, if i was out in san francisco i would probably be getting a little nervous right now because once again the fed may start pulling the punchbowl away and that is going to kind of take that away. as i just said, as the foreclosure inventories really start to evaporate i don't think we'll see price growth anymore. here is interesting factoid, adam, detroit almost has the same appreciation rate at san francisco. adam: they start at much lower base in detroit. >> the base is like think, you've got, one starts at a dollar. the other starts at 10 cents. no joke, housing prices in
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detroit are essentially depressed so horribly they have only up to go, right? >> absolutely. that is not always true but generally they have only up to go. adam: anthony sanders, thank you so much for joining us. >> thanks, adam. adam: hey, more shots at herbalife. billionaire hedge fund manager bill ackman questioning the company's earnings and its auditor. is ackman off his game? charlie gasparino is here next. lori: forget a four-digit password. the new buzz about apple's potential new way to unlock your iphone also ahead. ♪
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>> i'm melissa francis with your fox business brief. hess is selling its energy marketing unit to direct energy for roughly a billion dollars. the deal is part of hess's plan to focus on its exploration and production activities. direct energy is the north american subsidiary of centrica. new york's city's plan to ban soda and sugary drinks 16 ounces or larger was again struck down in court. in a unanimous decision, the court ruled the city's board of health exceeded its authority and acted unconstitutionally when it decided to put a size
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drink on soft drinks. charles payne joins us at 5:30, has a panel of married couples disagreeing who makes the big financial decisions. that is the latest from the fox business network, giving you the power to prosper.
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adam: stock alert. we are watching facebook and their shares are jumping today hitting an intraday high of $37 a share, inching ever closer to their ipo price of $38. the stock got a recent boost from its latest earnings report which was out last week. since then shares have gone up about 40%. lori: bill ackman, you know the name. question here, has he lost his sizzle when it comes to herbalife. fox business senior correspondent and author of, "circle of friends," charlie gas joins us. >> going back history, looking at ackman's calls.
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mbia was a great call. this may turn out to be a great call. he is saying pyramid scheme. the stock should go to zero. guess what? it has gone way above zero. adam: 66 bucks. >> the latest assault essentially says if you bare into some of the latest earnings numbers, we're off the highs but still doing pretty well -- lori: that is dramatic chart. >> that is a dramatic chart. remember his basic thesis is, this is a pyramid scheme. that all they make money is not really selling the product. basically going out and finding other people to sell the product and they get a commission from that. at some point that is going to run out. his latest attack, and this is where you wonder if he has any juice yet, if you go inside the numbers of earnings which were pretty good, pulling them apart, one-time things. what is the matter. you're laughing. lori: we were talking about the latest in anthony weiner scandal. >> come on. adam: we'll not mix herbalife and anthony weiner. because carl icahn --
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>> when you take out the one-time things -- lori: now you're laughing. >> just because of the conversation we had. anyway you take these one-time things out, it is really, really falling apart, the company. what is interesting in the past when ackman made these attacks and when he planted these stories it had an impact on the stock price. it is not having. i just wonder whether his, you know, his impact as a short seller that goes out and publicly does stuff like, you know, attacking firms, a little different than jim chanos, a short seller behind the scenes works, puts out some research but he doesn't go that public anymore. i think last time i saw chanos really public on a specific stock it might have been enron back a few years ago. but, the -- adam: herbalife getting a carl icahn boost? icahn is, definitely, i really don't want to talk about anthony weiner. there is enough in the post. but is it because of carl icahn we see the price going up? >> we are. ackman has failed to deliver so far.
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adam: the price has doubled. they were down at one point below 30 buck as share. >> the earnings are pretty good. at some point i think he has lost $300 million on this short so far apparently. remember he was even at some point. now he is really in the red. at some point he will have to pack it in because this will, really hurt performance this year. he says he is in it for the long haul. next thing we hear he covered his short. a lot of rumors on twitter that he has. obviously i don't think he has yet but, you know he has come out publicly saying still short significant shares, 20 million or something like that. >> a lot of money. >> something doesn't happen soon, i think he has maybe one quarter my view, i think he will have to cover. he has been known to stay it in a while, right? adam: yeah. lori: what i wanted to ask you was -- adam: about anthony weaner. i thought once i said stay in it. lori: oh, my gosh. >> to ahead. lori: herbalife, are we confident in the business model it is not a pyramid scheme?
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what do we know? i feel like we haven't earned how much they're booking? >> that is good question. that gives him some confidence to stay n no one really knows exactly what the future is like. lori: you spoke with unof their executives at herbalife. >> we brought him here. he really didn't answer a lot of my questions. he answered some of them, but some of them, he was basically saying part of their business model is bringing these distributes in. adam: direct selling they call it. they're not only once that do it. amway does it. >> they're not a public company with a lost investors. interesting, i think at some point ackman just from his own standpoint whether or not he is right long term will throw it in. he has got to. lori: he is saving face with the question about -- >> if you lost 300 million on this, that is a bad quarter. let me tell you. go back took tag about anthony weaner. >> "new york post," howard stern, who did the interview with one of his sexting partners, it is horrifying. anthony weiner needs to step out
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of this race. >> you didn't laugh a little bit? lori: i did laugh because it is sad at this point he still running for mayor. he refuses to see how offensive and inappropriate this nice i put him up with spitzer, i will say this i'm not a defender of anthony weiner or any of these guys, i look a legality, illegality. anthony weiner did stupid stuff that is legal. lori: did. he is still doing it. >> but it is legal. eliot spitzer did -- adam: illegal and prosecuted people for the same thing. >> and mack kin nations he did to bring prostitutes in hotel rooms. adam: why do i see the next book in the formation? >> i don't think so. they wrote that already. >> charlie, always a pleasure. so entertaining. top white house economic advisor gene sperling joins us from the white house in minutes ahead of the president's speech on the economy next hour. adam: back to school doesn't always mean back to spending. retail winners and losers before kids hit the books. lori: we know it is how to turn that frown up side down first
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thing in the morning. just ask internet sensation, grumpy cat. we met grumpy cat. how he can help just ahead. ♪
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adam: markets now. jonathan corpina joins us from the floor of the new york stock exchange. the dow down, what, 42 points. jonathan, why did we go negative? >> running out of steam here. look at the week we have. a lost economic data. earnings season is still moving on but what is happening now everyone anticipating president bush's speech coming up. he will talk about the economy. he will talk about cutting corporate tax rates. usually when the president speaks we get a short-term selloff in the market. adam: jonathan corpina anticipating president obama's
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speech coming up at 2:00. thank you very much, sir. minutes before the president will speak about the economy, rich edson talks with gene sperling the president's national economic counsel director. rich? >> good afternoon, adam. economic speech just a few minutes from the president. we're hear with gene sperling. first off, what we've seen new today is really this concept of a buy-in. you would have a international tack on foreign profits yet to have been repatriated. what is that. what kind of tax? is it repatriation and what is the revenue number here? >> we're not suggesting this is repatriation tax nor are we trying to give detail on what the transition tax or fee would be. what we're saying in all corporate tax reforms there is always some temporary revenue and we're suggesting that that temporary revenue, not ongoing revenue, could be used for things like infrastructure or manufacturing and innovation on training. the ongoing savings that you get
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from reducing tax expenditures and loopholes, those would be used in a revenue neutral way to lower rates to 28% and 25% for manufacturing. >> what's the number up front? o how much are you looking to raise in that one-time shot? >> we made a decision not to put out a specific number. with we're really trying to do is encourage what we're saying a grand bargain for jobs and middle class growth the same way we're working with a grand bargain on fiscal discipline and continue to work on a grand bargain for fiscal deficit reduction. what we're saying here is a way we can bring people together ont business leaders think would be very good for the economy. we know a corporate tax reform plan alone would probably not pass. infrastructure alone might not pass. maybe when we put them together we have a package that is good for job creation, it attracts, helps attract job creation investment on our shores by having a better tax code.
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>> are you abandoning what you put out in treasury in february of 2012, or does that proposal still stand? >> no, that proposal still describes our outline. we put out one more important detail today which we said is part of our plan. we would have a million dollars expensing limit for small businesses. what that means, any small business would be able to 100% expense as opposed to depreciate all their investment up to a million dollars. for most small businesses that means full expensing for their investment each year. that is tax simplification and an important tax incentive and tax relief for small businesses as part of our overall business reform plan that we were putting together with invests in manufacturing and infrastructure. >> gene sperling. thank you very much for your time. adam and lori, back to you. adam: rich edson, thank you very much. lori: well it is summer. no more teachers. no more books. no more spending? believe it or not it is already time to think about back to school but the national retail federation is expecting americans with school age kids will spend $54 less
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this year. what does that mean for the retailing industry? we have that question for jennifer davis, capital markets vice president. welcome to you. nrs says $635 will be spent by average american family on back-to-school supplies, pencils, notebooks and back to school clothes. which is actually down last year. what are retailers to make up for this expected decline? >> we've seen promotional activity increase throughout the entire first half of this-year. we think it will be ending up to be a very promotional back-to-school season. everybody will fight to get the dollar share. nrf is projecting sales down. shoppertrak is another industry monitor. they're projecting sales up a little bit. we'll see what happens. it is somewhere probably in the mid different two. lori: you but the big picture, look at the holiday season, christmas shopping, black friday is encroaching on to thanks giving now. >> right. lori: retail remembers jumping on strategy pushing products and adding promotions earlier and
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earlier. and is it working? >> not really. consumers are waiting and waiting shopper closer to need. i think we'll see that trend this year as well. lori: consumers are savvy, right, they know this isn't the first sale that will be offfred? >> exactly. lori: why don't the retailers follow suit to do last minute deals? >> they want to capture mindshare and therefore wallet share. they want to be out in front of promoting aggressively and be out in front of the consumer. we have sales tax holidays in 17 states, texas, florida, georgia, connecticut. no, california, or new york. do the tax holidays make a difference? do they lure shoppers. >> they definitely do. we have the same tax holidays this year as we do last year. it is an incremental boost to sales. but definitely kind of kicks off the first wave of back to school spending. that is kind of the first time parents go out with the kid and go shopping. >> so $635 more each family, to
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me that sounds like a lot. that sounds like a high number even though it is lower than than last year. what is it comprised of? >> it is apparel, shoes, backpacks, notebooks, what have. >> parents are refreshing their buying new items? they're not just holding over from last year? >> like the nrf, they said that they believe part of it is they can hold over some items from last year. that is part of the reason why nrf is anticipating numbers down. but for growing kids, if there is not an older sibling, they have to go get -- no hand-me-downs. lori: i was oldest. i never had to deal with hand-me-downs. that was nice. in terms of what they're buying fashions for school clothes, are there certain retailers stand to benefit from kids? kids are unfly wednesday making their purchases, does that pick up this year? >> that is point later and later shopping kids wait, wait to see see go back back to school to se what the friend are wearing. they buy something similar. they want to look different but
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the same. we're seeing later and later trend more like fashion retailers, forever 21, lazaro, denim, are earlier purchases which is more than american eagle, abercrombie, which are traditional teen retail years following the trends. thank you so much, jennifer davis. >> thank you. adam: sound like a gadget from james bond. reportedly a new iphone, likely called the iphone 5s will include a fingerprint sensor. a hidden code uncovered will suggest they could identify the person holding the phone and be used as a password to activate the phone. this comes a month after apple awarded a patent detailed how fingerprint recognition technology could be used. more than a cool gadget, ans are hailing it as possible end to all password and there was much rejoicing. lori: well, are you sure that is the right camera. i don't think that is the right camera. no, hi, hello. wake up, starbucks.
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you've got competition clawing at your door. grumpy cat, the viral sensation is turning internet fame into big business. after getting a movie deal, grumpy cat is coming out with the grumpcino will comb in three drinks. there will be online and in stores in sent. the company is overing a 10% presale discount to those who follow grumpy cat on facebook and twitter. we met grumpy cat. he has been a guest in studio. i get why grumpy cat sells stuff. adam: i don't like cats. i don't like cats. lori: why notany, that is real cat. i thought it was cartoon character. lori: you can't turn away. adam: remember that calendar, dead cat calendar? -@101 things to do with a dead cat? >> i notice about you and the market coverage one of the favorite phrases are dead-cat bounce. adam: do i? i will get it out of the vocabulary. lori: gets to your point about
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not liking cats. chairman and ceo bob hammer joins tracy byrnes and ashley webster next on fox business. don't miss it. [ male announcer ] these days, a small business can save by sharing.
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with a few taps, it's taken care of. impressive baldwin. does it wo for hotels? absolutely thank goodness. mrs. villain and i are planning our... you scare me. and i like it. let's go what's in your wallet? tracy: welcome back. i'm tracy byrnes. ashley: i'm ashley webster. lower corporate taxes, higher government spending, the white house says president obama's new plan, well it has both and it will build american jobs but republicans not so sure. we're looking ahead for answers. >> no surprise there. american home prices are up a whopping 12% from last year. denver and dallas hitting all-time highs. that's right, higher than their pre-crash peaks. we'll ask s&p's dave blitzer if he thinks it is all too good to be true? that is coming up. ashley: one of today's biggest winners, commvault surging 10% on another stellar quarter.
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we'll have chairman and ceo bob hammer and he will tell us how they plan to keep up the explosive growth. you don't want to miss that. let's get to nicole petallides on the floor of the new york stock exchange. drifting slightly lower again today, nicole. >> ashley, tracy, we have economic news where we saw confidence dip and that is not good news. home prices improved so that was good news but you do we have a mixed market. tech stocks seem to be holding on. nasdaq composite is up 1/4 of 1:00%. markets are pulling back ahead of president obama's speech. people are eagerly awaiting that as well. we're in the thick of earnings seasons. let's look at names hitting new highs after reporting earnings. cummins in the truck market up 2.5%. doing well particularly in the north america. againer rack sells generators. goodyear tire & rubber seeing
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great sales for goodyear tire and rubber. the stock is up almost 10%. that is great move. trw automotive. demand for auto parts. obviously came out with their numbers and real winner there. some new highs on earnings. back to you. ashley: nicole, thank you very much. we'll be back to you in 15 minutes. tracy: so now our top story today. president obama has a new plan that the white house says will reform corporate taxes and create jobs. rich edson at the white house with the details. not so new though, right, rich? >> bulk of this, tracy, isn't all that new. president obama proposing a corporate tax overhaul. much of the details with part of this what the president and white house put out in february of 2012. you lower the corporate tax rate, the top rate to 28% for manufacturers. 25% and get rid of a number about deduction to pay for that. the white house calls that revenue neutral. though on the other side we want what is known as a buy-in, basically taxing international profits yet to be brought back
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to the united states. some changes to depreciation. they expect to get an unspecified amount of money and spend that money on infrastructure projects, green energy investments and community colleges and manufacturing centers and things of that nature. so when you look at that the white house still won't say how much they want to raise in that up front buy-in. the revenue neutral portion of tax reform comes after that. republicans are saying look, if you want to do tax reform forget about the buy-in. we'll do revenue neutral, meaning no net tax increase. forget about that. the forget about increased spending. republicans also want to do individual tax reform coupled with tax reform on the corporate side. so already the president repackaging some of the proposals that he had out there before that buy-in. it's a new specific that we're hearing from the white house right now as the president is taking the podium at an amazon facility in tennessee touting some of the jobs that company has created there though some of the questions how much those folks are making, the
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white house was asked a question, are amazon jobs at 11 bucks an hour the type of new economy the new jobs the president is touting? the response from white house on that one, hey we'll get job creation where we can get it. these are good jobs. the president is out selling that as we speak in tennessee. back to you. tracy: rich edson, seems to me still no one is coming to the center. i don't know. >> no. tracy: there is that. >> no. ashley: for more on the president's jobs plan we are joined now by nina easton, "fortune" magazine senior editor and fox news contributor. nina, we just heard rich edson say this is basically a repackaged proposal. at the heart of it does bring down the corporate tax rate. what is your problem with this proposal? >> well i think it's a good idea in general. we've got $2 trillion in cash sitting overseas. the idea of wrestling with policy, tax policy on how to bring that money back here, to invest in jobs, to invest in
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companies here in america, that's a good place to be and a good place to start. the problem with this proposal it goes beyond sort of revenue neutral cutting of the corporate tax rate which would help do that and bring some of that cash back. and it goes beyond that to say, let's couple this with a government increased government spending essentially. increased government spending on infrastructure. increased government spending on things like job training. by the way we already spend $18 billion a year on job training and the gao, general accounting office said this stuff doesn't work. why don't we go back and fix the programs that we're already spending money on? ashley: it is interesting. i was reading house speaker john boehner's response. he says this proposal louse president obama to support president obama's position on taxes and president obama's position on spending while leaving small businesses and american families behind. what does this do for small businesses that are so vital to this economy?
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>> it doesn't do a lot for small businesses. the problem on the small business front, small businesses tend to pay individual tax rates and individual tax rates as we know are high and particularly high for the top earners. but at love those small businesses file as individual earners. ashley: so the question becomes, okay, so here we have another round of proposals and being shut down again bit republicans. to tracy's point, where do we find middle ground here? can we find something that is appealing for both side that can actually be enacted? >> well i actually think there is a middle ground. i have actually written about this in fortune. i think that there is a middle ground for corporate tax reform that is revenue neutral without the extra revenue spending side. it will be a bloodbath to some extent among lobby it because there are winners and losers. that said there is strong support in the business community and strong supports among democrats and republicans
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lower the rate and reduce loopholes. another very interesting idea out there which the president didn't propose give sort of a tax holiday for companies with overseas profits to bring those home, provided you invest in jobs. so it would, taxes would be calculated on how many jobs you create. and i think the focus should be on getting the private sector to create jobs, not the government to create jobs through green programs and infrastructure programs and so on. ashley: how willing do you think will the administration be to give up on the infrastructure spending to a point that would, to me it just doesn't seem like they're going to give up on that and republicans are staunchly opposed? >> they will not give up. they have been talking about this for quite some time obviously. the investment in infrastructure. frankly businesses want more investment in infrastructure. it would make us more competitive. the problem we've got such an entitle mane problem weighing down on the federal budget that there is no money left for things like investing in our
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country for the 201st century. you've got to go down the road of serious entitlement reform and save and streamline the budget and put caps on spending and do serious effort there. i think there is reallying gaysy potential for this president if he would stand up to the left and do entitlement reform. that would leave money on the table for infrastructure. ashley: yeah. if we do get entitlement reform, maybe then republicans would be willing to allow some of the infrastructure spending, depending how it is paid for? >> i think that's right, yeah. ashley: very interesting. >> you need leadership on both sides, absolutely. ashley: yeah. we shall see. we've been waiting a long time for that. >> yeah. ashley: nina easton, thanks so much. great perspective. we appreciate you joining us today. >> thank you. tracy: i think more people should read "fortune," maybe we won't have the problem. she's right. ashley: she seals a little more optimistic we can find common ground there. we'll see. tracy: good for her. new developments in the trial of
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former goldman vice president, fabulous fab, fabrice tourre. liz mcdonald is doing fabulous job. what are you doing with the latest? >> we could hear that the jury could get the case tomorrow. we talked to fabrice tourre this morning. we asked him how he felt how the case was goings. here is what he told fox business. are you feeling confident, fabrice? how are you feel tag? are you feeling good? >> good, thank you. >> you know, we also talked to top attorneys who are representing fabrice tourre and we asked him why did the sec in the closing argument use the word circumstantial about the evidence? and ther attorneys said well, it is circumstantial. they're essentially saying, their argument here that the sec snitched together e-mails, inferences, snippets of e-mails, assumptions to try to build their case on documents of e-mails. we talked to another court watcher who said to us, you know what? sec did not focus on the strongest part of the case and
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that was the actual deal documents where fabrice tourre assembled deal documents, the flip book and basically gave it to investors without disclosing john paulson's role in it. john paulson the billionaire hedge fund manager shorted deal, cherry-picked the asset. none of that was in the deal documents. goldman sachs paid a 550 million-dollar fine. that is the weakest part of the sec case. they didn't focus more time on the deal documents. we have more information coming out soon. fabrice tourre talked to us inside the courthouse. he again said to us he is feeling very good and feeling very confident. i asked him about the sec case. he said we'll see about that. sec basically wrapped their case. fabrice tourre's side wrapped their case not calling any witnesses. more information coming out about this, the reason why is the judge on the case is moving it rapidly. she told the sec an fabrice tourre that you can't repeat, witnesses. can't recall witnesses that already taken the stand.
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the sec called six of eight witnesses. six of their eight witnesses, who the fabrice tourre side was going to call. the sec dramatically undercut pellegrini in their closing arguments this morning. he is with the paulson fund. he also basically said he didn't, basically was talking about this case but the sec really drilling him hard, drilling fabrice tourre hard, saying both of those guys misled jurors on the witness stand and we're going to be taking you live later on the liz claman show, more developing information as the story unfolds. the jury could get the case tomorrow. give it back to you guys. ashley: it is moving along. tracy: lizzie mack, doing such an awesome job. >> sure. tracy: we said all along it is extremely difficult. it will be extremely difficult to prove all of this. ashley: it is. as charlie gasparino pointed out it is a civil trial. therefore the preponderance of evidence not reasonable doubt. should be easier for prosecutors prove their case. we shall see. it should be interesting.
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stocks trading cautiously ahead of fed decision, remember them? one money manager shares his picks for this uncertain market. tracy: another big jump for home prices so is it a case of day. >> view all over again? david blitzer from case-shiller will weigh in on all of this. we'll look how oil is trading as we head out to break. $102.90 a cheryl. we'll be right back. weekdays are for rising to the challenge. they're the days to take care of business. when possibilities become reality. with centurylink as your trusted partner, our visionary cloud infrastructure and global broadband network free you to focus on what matters.
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♪ there's got to be better cards than this. [ male announcer ] there's a better way with creditcards.com. compare hundreds of cards from all the major banks find the one that's right for you. it's simple. search, compare, and apply at creditcards.com. first round's on me. ashley: it is already coming up quarter past the hour. let's get back with a check of these markets. nicole petallides on the floor of the nyse. nicole, what have we got? >> how about we take a look here at herbalife, a name we garnered a lost headlines as the billionaires battle it out whether they thought it was a short or you should go long on this one. you see the stock is up about 1%, off the highs earlier of the day. hit better-than-expected earnings. came out with rosier picture of guidance. that is great news if you were long this one. however ackman's pershing square not hot on the stock.
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actually called it a ponzi scheme and actually lost about $300 million since putting this short bet basically on this company let's quickly look at major market averages. the vix, sphere index, is to the upside and major averages are not too far off the unchanged line. the nasdaq has gains while the dow and s&p pulling back. back to you. ashley: nicole, thank you very much. appreciate that. >> more on the markets, our next guest manages over $2 billion of assets. he suggests that investors look towards chinese companies. we have the global financial capital chief investment officer caterpillar basically came out with downgrade the world or downgrade china, manufacturing over there. china manufacturing is not doing well but you think other parts of china are? >> absolutely. shorts famously led by jim chanos had a great time.
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if you look the last five years, the u.s. looks straight up and china is flat or really down. however, that won't last forever and i think china is really in the early distances of changing to a consumer economy and, sure, cat's numbers were disappointing but if you looked at cummins or more importantly if you look at the chinese companies whether it is china mobile or baidu or whatever, you're seeing a huge change what is going on there from a consumer point of view. tracy: these are two of your picks, chinese google, baidu, they still all don't have smartphones. these are great plays if the consumer truly does have extra cash in his pocket to spend? >> no question there is execution risk but you can compare it to the united states in the 1950s. there was always hesitation what would happen post-world war ii. all of sudden we saw really terrific growth but you know china growing at double digits, that's too much for a big country but growing at 6, 7, 8%
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i think that is realizable. the number of cell phones and number of people that will become internet savvy will be great. tracy: a lot people would take 6 or 7% any day right now. that is their large cap etf, right. >> yes it. contains banks and insurance companies and stocks like china mobile. there are two-ways to play it. play it universally with the market with the etf or take a specific shot with companies baidu is great growth and china mobile terrific dividend deals. terrific top-line growth too. tracy: that is good stuff. bring it back home a little bit. you make an interesting point about the muni bond world that detroit is probably scaring the pants off everyone right? everyone is leaving and you can get into pretty cheap. >> i'm not saying get into detroit but what it has done to other major municipalities made them really attractive for a bond investor. i look at it. when i see them trading at about the same levels or little more
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than the 10-year comparable i think that's fine. maybe you want to stay away from the memphiss and baltimores for a while until they work through their problems but i think there is an awful lot of other areas. tracy: talk about the industrials here at home though. the industrial cyclicals like john deere, mosaic, i know those are two of your picks. both of them kind of taking it in the chin today. >> absolutely. the farm area, the ag area will be definitely set for growth. i think in the fertilizer, is well, a blip where a russian oligarchy will control it or whatever. tracy: right. >> but if you look at other areas like cf and others in the same oring a go in the farm equipment you see they power right along -- agco but opportunity now with deere and mosaic. tracy: chris, from global financial private capital. thanks for being here. >> thank you. tracy: so on deck, charles payne has some stocks to watch. he calls them young, hot and
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american. ashley: all right. tracy: i hope they're in studio. ashley: you read my mind. plus this stock is, well, definitely hot, commvault jumping some nearly 10% on its latest results. chairman and ceo bob hammer is our special guest ahead but first let's head to the break and take a look how the u.s. dollar is moving right now as the dow drifts slightly lower. i tell you what, the dollar is stronger today and that means all of these currencies moving lower against the greenback. we'll be right back.
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>> at 20 three minutes past the hour i'm heather nauert with your fox news minute. army private bradley manning was found not guilty of aid the enemy but a military judge found manning guilty of five counts of espionage which could carry 128 years in prison. manning was accused giving more than 700,000 classified documents to the wikileaks website. sentencing is set to take place tomorrow morning. >> secretary of state john kerry said israeli and palestinian negotiators agreed to meet again within two weeks to continue peace talks. both sides have set a nine-month deadline on working to reach a peace agreement. the next round of talks will take place either in israel or
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the palestinian territoriries. in florida, fire investigators do not expect sabotage caused last night's series of explosions at a propane gas plant. officials suspect either a equipment malfunction or human error that's too blame. the blast left eight people injured, four of those critically. those are the headlines. i'm heather nauert. back to ashley and tracy. tracy: heather, you're working all day. i saw you talking to the emergency room nurse and punching in the time clock to have a baby in four seconds. >> that's right. worked the overnight schedule and went upstairs in the hospital to be induced. how about that? tracy: makes us all look lazy. >> we're bums. ashley: that's tough. tracy: i know. that is dedication. all right, we've got to make some money now. this hour charles is looking at a few hot, young american companies. >> always looking for hot, young and american, that's for sure. this week i want to talk with you guys, this is earnings season. we're right in the mid definitely it.
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ashley: yep. >> lessons from earnings season. i always try to help the audience because everyone is afraid the market. young, hot, american, relatively 20 years or less, hot companies, hot stock, american. by the way what i did not add? not complicated. i'm not saying a new computer chip. ashley: they're easy. >> what is bert combination than that. ashley: sorry. >> i mean this morning a company called multimedia games reports earnings. absolutely phenomenal. they make fancy slot machines. look at that stock, up 11% and a new 52-week high. you guys know last week i talked a little bit underarmor, athletic gear. how hard to understand is that? we buy athletic gear. we buy it, wear it, gets sweat off us. tracy: kids love it. >> hardwood floors, not complicated. more houses more hardwood floors, lumber liquidators. p.e.t.s.com. tracy: without a --
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>> mexican food. i'm a little worried about his brother son anyugh. -- sonni. chipolte mex dan grail. ashley: now we're talking. >> trip advisors. we see what websites are, i want people to think about this, if you had a neighbor, you say you know what? i will start selling hardwood floors an started doing pretty well and year later business is doing well and offer you a chance to invest in it. you might do it, if you had an investor opened up mexican restaurant and two years later he has four of them. listen i'm trying to expand across the country, you might do that that's what i'm saying people have to look at this not not context of the market. forget about the market and wall street and insider trading jerks. think about great companies. think of these guys being your neighbors at some point. don't worry whether it is too late. if you think the great company and business is doing well. something to consider. tracy: peter lynch style. invest in what you know. >> you may not know it but it s
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easy to understand. you can see there is some success to it. i always dreamed after neighbor with a penny stock. i throw, like, 20 grand at it, next thing you know i'm worth 200 million. that hasn't happened yet. tracy: then there is that. >> then there is that. ashley: we live for those. >> young, hot american and easy. ashley: charles, thank you very much. quite a title. the white house calls it a grand bargain on taxes and jobs. republicans say not much of a bargain and not all that grand. that's next. >> before we go to break, take a look at some of today's winners and losers on the s&p 500. nicole is talked about goodyear tire, up over 9%. we'll be right back. ashley: gaining traction. [ indistinct shouting ]
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>> it is 90 minutes until the close on wall street, annie coal is at the new york stock exchange with the latest on the markets, nicole? >> well, there's been back and forth action, the dow jones industrials, for example, in the green, turned into the red, and nasdaq was holding on to the gain, but a market not too far off the unchanged line today. tomorrow, fomc focuses on. i want to look at fertilizer company in 52-week lows, mosaic and intrepid. the fertilizer companies under pressure after a russian company, almost basically says prices are going down about 25%. the whole group has been under pressure. for the companies and like opec; right? they get together at the consortium and speculate or give you glimpses into the future,
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and in this case, the future glimpse is not good news, and the stocks are showing that. back to you. >> there's a joke about stocks and fertilizer and what nay are doing, but you resisted. thank you so much. back with you in 15 minutes. >> ashley did not though. >> leave it to me. >> president obama announced what he calls a corporate tax overhaul. rich edson, what's the latest in >> well, the president is still delivers remarks in an amazon facility in tennessee. the news out of this with the white house pushing, pushing their corporate tax proposal from a couple years ago, but they want what's known as a buy-in phase in the beginning, a revenue increase by taxes overseas holdings of companies along with other changes to tax laws. those tax increases would be used to pay for a number of different projects and boost spending. >> we don't make these investments, if we don't make the reforms, then we might as well be waving the white flag to the rest of the world because
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they are moving forward. they are not slowing down. >> so the idea from the white house is you do the tax increases up front, spending up front, and after that, you do what they call -- what they call revenue neutral tax reform, making the top corporate tax rate 28%, and so that entire idea, republicans say, they are opposed. >> the plan which i just learned about last night, lacks meaningful bipartisan input, and the tax hike it includes is going to dampen any business they might otherwise get to help our economy. in fact, is could actually hurt small businesses. >> the other problem for republicans, they say, you cannot do corporate tax reform without doing individual tax reform because so many small businesses file as individuals. back to you. >> you know, rich, the repatriation trade is interesting, stocks like apple,
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microsoft has stocks overseas, and we did this once, and it didn't work. bring money back and hire people, but they just gave it out in dividends. >> there was a repatriation in the bush administration. plenty of evidence that it did not work; others say it did work. what they are looking to do here is not a repatriation. it's not coming back, it would be nice, but they want a one-time revenue hit on that. we asked for specifics on how much they hoped to get oh how that would work, and they didn't have any. >> of course not. why would they? >> because they don't know. >> and and there's that. >> thanks for sticking around. >> breaking news, oil posting losses closing down a buck-37, down 10 # 3.08 a barrel. that's a loss of nearly 1.5% on the day. >> all right. home prices rising again, but there's questions about whether
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the recovery is for real. s&p's david blitzer put together the case schiller index, and he's here next. >> the battle between cbs and time warner heating up. they pull the plug at one point, and we have the latest on that story next. first, look at the 10- and 30-year treasuries as we head to the break. ♪ wanna play dodge rock? oh, you guys! and with double miles you can actuay use, you never miss the fun. beard growing contest and go! ♪ win! what's in your wallet?
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♪ >> now here's your business brief. turbulent day for spirit airline stocks. the chairman, william frank, resigning on august 7th. selling his investment firm's stake in the company, and indigo partners divesting 12.1 million shares in spirit. the pentagon reaching a 7 billion deal with lockheed martin for 31 more jets. the latest between the two adds a 4% discount allowing the government to purchase all the planes they intended to despite the budget cuts that took effect in march. the conference department, home ownership fell to the 17.5% year low. consumers prefer to continue renting. that is the latest from the fox business network, giving you the power to prosper. ♪
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>> home prialses rose in may by 12.2% from last year, the most in seven years according to the case schiller index, and leading the gains were markets in san fransisco, las vegas, and phoenix. is this indication of housing deja vu all over again? bringing in the managing director and chairman of the index committee at s&p. so, good news this time? >> yes, i think it is good news. we have prices up across the board, some cities with strong numbers, and two cities, dallas and denver, which reached the high prices not sense the financial crisis, but actually gone all the way back to the year 2000 or before including some numbers before the crisis. >> numbers up, but slightly below expectations so does that bother you at all?
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>> no, i don't think is does, you know, there's nature and uncertain game so missing it slightly makes a difference. we wouldn't share if they were ahead of expectations. >> very true. new york, though, a big lagger, slowest year over year game, and is that because new york was late to the party to begin with? >> it may have been a little of that. i think not just late to the party, but, you know, still has issues. new york is heavily dependent on financial services, and that has been not the strongest industry in the last couple years, and so it's dampening things down. plus, the index is single family homes, not including condos and co-ops and the $10 million sales you read about in the sunday paper every week. >> that's a really interesting point to make. you know, since the survey was taken, though, mortgage rates up 70 basis points. is it data old news? are there different numbers next time? >> looking at mortgage rates,
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the economy, a bunch of issues, i don't think we're going to sustain 12% annual rates of increase as far as the eye can see. >> right. >> in fact, if we do, we have huge problems with inflation and booms, so i think what we're going to see over the next year to year and a half is the 12% number gradually come down to something in the lower single digits area, a number more sustainable and has more mix, but it doesn't, you know, i'm not concerned we're about to plunge. rising mortgage rates take tolls on housing, and we'll see people switching from fixeded rate loans because that gets them the lower rate in the beginning. >> the rise in the mortgage rate interests me, though. it's not going up all that much, and yet it's making a difference to people's purchasing habits. i mean, reminding them all that, you know, we all had loans at one point over 10%.
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>> well, yeah, mortgage rates we have today we had two months ago, and in 12 months, rates will be incredibly low compared to, say, 10-15 years ago. no question about that. it's not going to squeeze everybody out of the market, but as mortgage rates go up a quarter or half a percent, there's some people at the margin who scratch their heads, look at that, and say, i'm not ready to do this, or this squeezes my spending or something like that. you do lose a few home buyers no matter what. >> san fransisco, las vegas, phoenix at the top. we talked about it before. they fell the furthest. where are they now? are they closer to the norm or have a ways to go? >> i think most of them probably still have a ways to go and so on. you know, san fransisco is still about 22-23% below where it was at the peak. if it's getting back to the
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peak, has a ways to go. phoenix and las las vegas, 40 ad 50% below the peak. they have a long way to go. >> wow. >> and i think if you look at all the cities, you'll see the ones that made the biggest peaks had the biggest decline, and are probably going to appear to have some exciting comebacks, but they definitely have a long way to come all the way back, unfortunately. >> right, just to get back to the normal. thank you for shining the good news on the housing market. >> thank you, have a good afternoon. >> you too. >> phoenix and vegas, a ways to go, but headed in the right direction. >> right, right, right. >> in the clash of two tv titans, a deadline extension, but hostilities, oh, yeah, they continue, and dennis has the latest on cbs versus time warner cable. dennis? >> yeah, you know, for millions of homes, something like 26 minutes of a black eye. cbs nicknamed "the eye" going dark in 3 million homes, and cbs's showtime, paid channel,
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going dark in all 12 million homes that twc serves. that happened just after midnight last night, off air after the two sides extended the already extended deadline first to 5 p.m. yesterday, then six, seven, eight, nine, up to midnight when the cable guy, time warner sent out afour minut saying, quote, the outrageous demands of fees by cbs forced us to remove several networks and broadcast stations. we offered reasonable increases, but the demands are out of line and unfair. then a reprieve came 25 minutes later at 12:20 a.m. when time warner, 12:29 a.m. e-mailed this. we have halted going dark on their channels, and that makes me think that cbs, "the eye" blinked. both companies faired well in the last year, cbs up 60% in the stock price, twc up almost 40%, but cbs is in the slack summer season, and so it has less
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leverage. despite having the summer's biggest new hit "under the dome," and cbs could gain more clout when nfl football begins next month. congress doesn't to see its football disappear off broadcast tv, but for now, time warner has the upper hand. the handful of stations are small traces of hundreds of channels, and as they point out, if cbs is dark on cable, you can catch the shows at the cbs.com website online via cable. >> well, that's true. i guess they do have the upper hand a little bit, don't they? >> distribution is kicking back the night from content. >> great stuff, dennis. thanks so mmch. >> all right. thanks. >> quarter till, time for stocks as we do every 15 minutes. john, we are on track for back-to-back two days of consecutive declines on the dow. we have not seen this in six weeks, bother you? >> consecutive declines, down 113 points right now.
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don't get dramatic here. >> okay, fine. >> robust week. interesting to see fomc smack in the middle coming out tomorrow. i think we'll continue to see the flat line until then. we're not getting much information from washington. they are waiting for friday, unemployment number, and market has had a great run, look for end of the month window dressing soon too so all the stuff put together, i think our market's trading exactly the way it should be trading. >> earnings season, happy or disappointed? >> i'm kind of in the middle right there just because i'm happy with the forecast moving forward we are seeing. i'm disappointed in the earnings per share and revenue. we've been missing so many times on bulls i want to see double hits, but the forecast, even though is not as sunny as everybody wants it to be, it's very much realistic. >> yeah, that's for sure, and we have been waiting for top line growth for the longest time now. john, thank you so much. >> thanks, tracy. ashley: all right. on deck, shares surging 10% on
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the very latest results, look the a that. nice move up. nearly 10% higher, chairman and ceo, bob hammer, weighs in whether the data storage firm is a takeover target next. tracy: first, as john said, the market is barely down, down about 14 points now. look at the winners and losers on the nasdaq. facebook up there, looking at the ipo price, up about 5%. we'll be right back. ♪
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ashley: shares of con as a result systems jump 10% after record highs the storage software company had results that beat both on the top and bottom lines.
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impressive. joining us now, the convult chairman, bob hammer. bob, thank you so much for being here. the company reported 134 and change million in revenues. you had 40 cents per sthair on the eps, beating both estimates. how are you doing this? you're continuing to grow impressively quarter by quarter. >> thanks again for having me, good to be back. yeah, we had 12 solid quarters in a row. revenue generally growing north at 20%, and our profit growing somewhere north of 30%. we are a software and services company. and protection of the data, and then recently, we've been involved with a deal with -- what do you do with data on mobile devices so we announced yesterday a comprehensive solution for mobile. we are in the regulatory
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compliance companies making sure they are compliant, and we're into business analytics. ashley: you have a publisher with dell, don't you? >> sort of. a partnership with dell. we're basically in the process of disengaging from dell. tracy: you are? >> yes. tracy: for what reason? >> it's simple. a year ago, dell started to, you know, which is fine, in a -- to purchase their own ip, and in the mid market so we moved away from dell in the mid market, and over the last six months or so, moving away from dell, and the enterprise market is focusing on their own products, and we've been moving that revenue to other distribution partnerships. tracy: we have to mention the takeover target. i know you are asked this a lot. a lot of people say, hey, you're a perfect fit for ibm, and you say, look, you know what? good luck.
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we know what we are doing. we're going to continue on, but you must be under a lot of pressure. >> we're under no pressure. you know, we continue to have two things really well. we add value to our customers, one mission in life, and number two, we add value to the shareholders. we're the most innovative share company in our field, focusing on data that's growing, more complex, lots of opportunity about as far out as we can see. we continue to build the company, said publicly the next target is a billion dollars, and mid 20s operating margins, on track to achieve that over the next several years, working on a $2 billion plan. bottom line, we started this company from zero, all organic growth, the plant is organic, and it -- tracy: carrying on, continuing to grow and grow and grow. >> approaching 500 million cash in fact bank, no debt, no reason
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at all why this company needs to acquire. tracy: apart from domestic demand for your product, bob, what about internationally? are you seeing a pick up in international clients? >> international is about 40%. drey tray anywhere in particular? >> we are all over. started in europe, but now we're in yearn europe, russia, the middle east, and we're in china, india, all through eight packs, south america, a global company. tracy: fantastic. quickly, we talk about cloud computing, but we also talk about the fear that being accessed by those dreaded hackers. obviously, that's something that your company has to think about every day. >> yeah, i mean, our mission is, you know, we secure companies, whether it's a device like this, you got to protect your edge. you got to protect data in the trade. you got to protect data in the data center, what's that we do globally and holistically.
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tracy: daily battle, i'm sure. >> a lot of technology, but we're in the best of the best in doing that. tracy: we congratulate you on the growth, a tremendous story, bob hammer, a tremendous day on the market. thank you. >> thanks very much, thanks a lot. ashley: the milwaukee brewers, the baseball team, they are going out of the way to give back to the fans. now, after the suspension of the outfielder due to the alleged steroid use, they gave every fan a $10 voucher to use on food, beverage, tickets, or merchandise. it's cool. ashley: yeah. tracy: despite the record, the team brought in over 31,000 fans a game. the vouchers could cost the ball club over 3.5 million dollars, but, man, that's a lot of happy fans. ashley: it is. they are die hard sports fan, you know, the packers,
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everything else, and it's nice the club is giving something back. i'm sure they just offered it in beer would be a huge hit as well. tracy: and spend more money. ashley: markets waiting for the fed. we know that. wondering if there's details or more hints about plans to taper at the end of tomorrow's meeting, complete coverage, and analysts' reactions of the feds' decision at 2 p.m. eastern time tomorrow. do not miss it. you cannot afford to do that. coming up on "countdown to the closing bell," don't miss this either, sources say it's business as urinal at -- usual as the hedge fund, but what else is going on trying to fend out multiple criminal charges? charlie has the inside scoop joining liz clamman next on "countdown to the closing bell." ♪
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>> exgoldman trader in court telling fox business he's feeling good about his case. in closing arguments today, the government couldn't disagree more urging jurors to ignore there was the quote, fantasy world that he created to make money off the backs of innocent investors. the ceo of 3-d printing player, 3-d systems, with us exclusively. the sector white hot as well as the stock up over 90% in the last year. fab or the future? see what he says in the wake of earnings. sources at sac say it's business as usual at the embattled hedge fund, so we take a ride out to sac to see for ourselves, and charlie has the inside scoop on what's going on inside the gates of sac capital as criminal

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